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Valuation compression without a business deterioration catalyst is exactly where the opportunity tends to live — the Sigma deal strengthens the royalty stream while the price moved the wrong direction. That's the kind of setup where the math starts to quietly outpace the narrative, and patient capital gets rewarded before the market catches up.

PharmX now trades at slightly more attractive prices than when we initiated coverage, and I don’t see a major reason for it—the business was recently strengthened by the deal with Sigma.

For those new to the story, we’ve published extensive coverage, including this Q&A with the company’s CEO.

Apr 7
at
12:44 PM
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